Now that U.S. President Donald Trump has bagged a political victory in the form of a trade deal with Mexico, the country’s ongoing dispute with China looks set to drag on, experts said.

Mexico is “an important trading partner” of the U.S. and the deal offers Trump “some wins from a political perspective that the administration can point to ahead of the mid-terms,” said John Woods, chief investment officer for Asia Pacific at Credit Suisse.

That’s “not necessarily positive” for China, Woods told CNBC’s “Squawk Box” on Tuesday.

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